Mortgage Payment Isn't Late, So Why Do Banks Keep Calling?

Greg Wolff doesn't need a calendar to know it's right after the first of the month: the phone calls from his mortgage company start coming, sometimes twice a day.

And the Cheshire resident still has days left before the payment grace period runs out.

"It's every day, at least once a day," Wolff, a picture framer, said. "Last month, I actually got a letter on the 10th. This is a little much."

Calls from banks and mortgage servicers aren't just for borrowers who have fallen behind anymore. Banks and servicers are keeping closer tabs on home loan payment patterns in the aftermath of the mortgage crisis. That means more calls to borrowers during the 10-to-15 day grace period written into many mortgage contracts that comes before a late charge is imposed.

The mortgage industry defends the practice, saying sweeping financial services reform is now pressuring servicers to be more attentive to borrowers who may be headed for trouble.

But banking regulators in Connecticut question whether calls to borrowers who consistently pay within the grace period is a waste of time.

"I know someone who has a decade of paying on the exact same date, and he gets a call," said Bruce Adams, general counsel for the banking department in Connecticut. "One begins to wonder if it is the best use of the servicer's resources."

If a mortgage contract states that a borrower has until, say, the 10th or the 15th to pay, "then there should be no problem," Adams said.

The mortgage industry maintains that new regulations enacted by the Consumer Financial Protection Bureau require mortgage lenders and servicers to be more keyed in to the ability of borrowers to pay. The regulations are intended to prevent the kind of mortgage meltdown that touched off the last recession, they say.

"What you're seeing is a mortgage company basically providing special attention, being proactive," said John Snook, director of loan administration policy at the Mortgage Bankers Association in Washington. D.C.

Snook said the contract may allow for a grace period, but technically, payment is expected on the due date.

Mortgage lenders and servicers are now considering myriad factors in making calls to consumers, not just mortgage payment history. They have sophisticated computer systems that can detect subtle changes in credit scores that reflect a consumer's overall ability to pay creditors. They also are looking at neighborhood demographic trends, identifying areas with high foreclosure, Snook said.

"The goal is to contact consumers quickly who may need help making their payment and avoid making late payments," Terry H. Francisco, a Bank of America spokesman said, in a written statement. "We've been doing this for several years."

Wells Fargo, another major mortgage lender, said it starts with a telephone call to the borrower.

"Follow-up calls are made until we're able to reach the customer or until the payment is received," Wells Fargo spokesman James E. Hines said.

Hines said the bank contacts borrowers by telephone &#8212; computer-generated and live operators &#8212; and sometimes by email.

Hines declined to comment on how the bank determines which consumers will get contacted in any given month.

Snook said consumers should not ignore calls made to their homes or workplace. Sometimes, borrowers in good standing have been mistakenly placed on lists of those that may be headed for trouble, Snook said.

Another option is to sign up for mortgage payments to be automatically deducted fro checking accounts, he said.

Andrew Pizor, a staff attorney and expert on mortgage financing at the National Consumer Law Center in Washington, said the due date is when the payment is supposed to be received by the servicer. But many borrowers use the grace period as a way to stretch out when the payment can be made, and a late fee can still be avoided, Pizor said.

And it won't hurt your credit score because lenders and servicers can't report delinquencies until payments are 30 or more days late, Pizor said.

But that doesn't mean they can't call. A new rule by the financial protection bureau requires that lenders and servicers get in touch with borrowers before the payment is 36 days late, and the time clock starts running right after the official due date, usually the first of the month.

"It ignores the 15-day grace period," Pizor said.

Pizor said it is best to pay as close to the due date as possible.

"If you pay a day or two late, not much is going to happen," Pizor said. But it's not a good idea to intentionally pay after the due date."

wells fargo mortgage customer service_doc

The best Wells Fargo Home Mortgages customer phone number with quickest path to a real human being, a map of the phone system, skip waiting on hold, call .

wells fargo home mortgage payments …

What is the city code to send western union payment to Wells Fargo dealer services?

Foreclosure Defense and Loan Modification Blog

Friday, May 31, 2013

According to online real estate marketplace Zillow, there are approximately 13 million US homes with mortgages in a negative equity situation. In addition to negative equity, hardships and rising interest rates have left many homeowners unable to afford their monthly mortgage payments. For many families, the only hope they have of keeping their homes is to secure a loan modification that reduces their payments and makes their home affordable.

The US Department of Housing and Urban Development (HUD) has attempted to ease the foreclosure crisis with programs designed to encourage lenders to modify loans and provide homeowners with tools and resources to assist them in obtaining a loan modification. One program, known as Home Affordable Modification Program (HAMP), offers homeowners information and advice to help them get started on their loan modification program. The first suggestion made by the program is for homeowners to contact their lender. Unfortunately for some homeowners, it may not be easy to work with their lender.

When it comes to foreclosure, time is always of essence. In the past many homeowners were told to wait until they had fallen behind in their mortgage payments to apply for a Wells Fargo loan modification. Now lenders are encouraging borrows to be more proactive and get the process started as early as possible. So if you are struggling to make your monthly payment, and missing a mortgage payment seems to be a looming inevitability, NOW is the time to start taking the necessary steps to apply for a Wells Fargo loan modification.

How much do you know about your wells Fargo loan? How much do you know about the loan modification process? Now is a great time to educate yourself and gather information. You should also visit the HUD website or this blog and review articles such as loan modification information and tips on finding loan modification help. Knowledge is power, and you should seek to arm yourself with as much information as possible and make sure you thoroughly understand the process and your lender’s expectations.

3. Find the Right Representation

Most importantly, homeowners seeking a Wells Fargo loan modification must find the right representation to have the greatest chance at success. An attorney has the resources to pressure your lender to apply the current laws and programs to achieve your loan modification. Your best course of actions is to look for a law firm with a proven track record working with your lender to obtain successful loan modifications.